Milton Friedman
Milton Friedman (July 31, 1912 – November 16, 2006) was an American economist, statistician and writer who taught at the University of Chicago for more than three decades. He received the 1976 Nobel Memorial Prize in Economic Sciences for his research on consumption analysis, monetary history and theory and the complexity of stabilization policy. Tossup Questions # This man theorized that short-term changes in income do not affect consumption patterns. This thinker argued that the money supply should have been expanded to counteract the Great Depression in a work co-written with Anna Schwartz, A Monetary History of the United States. This thinker, who suggested a "natural" rate of unemployment, believed that increasing employment by raising aggregate demand would cause inflation. For 10 points, name this author of Capitalism and Freedom, a Nobel-winning economist from the Chicago school. # This thinker used the example of cigarette firms' response to price controls in World War Two as a rare example of imperfect competition in his work "The Methodology of Positive Economics." Along with Savage, he names a utility function whose curvature changes depending on agents' incomes, and he also names a "k-percent rule" to describe an increase in the monetary supply. He helped develop the permanent (*) income hypothesis in his book A Theory of the Consumption Function. In his best known work, he advocated a flat tax and proposed school vouchers. He worked on a television series named Free to Choose, and, with Anna Schwartz, he criticized the Federal Reserve's actions during the Great Depression in A Monetary History of the United States. For 10 points, name this Chicago school economist, an advisor to Reagan who wrote Capitalism and Freedom. # This thinker argued hypotheses should not be subject to normative judgments, but rather should be evaluated on their "simplicity" and "fruitfulness" in his essay "The Methodology of Positive Economics." He stated money supply should annually increase by a set percentage in his namesake "k-percentage rule." One of his works claims that the practice of licensing doctors results in worse care and criticizes the Bretton Woods system arguing a floating exchange rate would be more effective. He wrote Free to Choose with his wife Rose and worked with Edmund Phelps to outline the "natural rate of unemployment" as a critique of the Phillips Curve. This economist called for a negative income tax to promote free markets in his book Capitalism and Freedom. For 10 points, name this leader of the Chicago School of economics who championed monetarism. # This thinker's early work included the book Theory of the Consumption Function. This man's work with Simon Kuznets resulted in the permanent income hypothesis, which states that people make decisions based on what they think their future income will be. (+) This economist argued that the government should control inflation by changing the money supply, a position he called "monetarism". This man also wrote the Monetary History of the United States. Along with his wife Rose, this winner of the 1976 Nobel Prize created a TV series called (*) Free to Choose, which criticized government regulation. For 10 points, name this economist from the University of Chicago, an advocate of the free market. # While working with Simon Kuznets, this man performed a study that found that the high barriers to entry of the American Medical Association was a cause of doctors having a higher income than other professions. He questioned the Phillips curve as part of his critique of Keynesianism. He collaborated with Anna Schwartz on A Monetary History of the United States. This (*) monetarist co-authored Free To Choose with his wife Rose. For 10 points, name this Chicago school economist who won the 1976 Nobel Prize.